Re: Is the outsourcing boom over?

Subject: Re: Is the outsourcing boom over?
From: "Barry Campbell" <barry -dot- campbell -at- gmail -dot- com>
To: "Gene Kim-Eng" <techwr -at- genek -dot- com>
Date: Wed, 12 Jul 2006 15:46:51 -0400

On 7/12/06, Gene Kim-Eng <techwr -at- genek -dot- com> wrote:

...There is nothing in the article to suggest that any of
the cancelled outsourced/offshored work is coming home
to domestic in-house hires.

Also, keep in mind that "on-shore outsourcing" probably
includes people who are working as 1099 independent
contractors.

To add to Gene's excellent points, and to further muddy the waters, in
many cases companies fire one outsourcing provider prematurely, only
to immediately replace them with *another* outsourcing provider.

At my former employer, a major multinational consulting firm with a
large outsourcing arm and significant onshore *and* offshore
outsourcing presences, we both gained and lost business this way
fairly routinely.

My experience is that it is *very* much the exception, rather than the
rule, when a long term (five to seven year) outsourcing agreement goes
to completion without being significantly revised and renegotiated or
terminated outright.

In the outsourcing industry, we even spoke of the "three-year itch,"
as that seemed to be about when customers started getting restless
with their providers.

- bc

--
Barry Campbell <barry -at- campbell-online -dot- com>
http://campbell-online.com
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References:
Is the outsourcing boom over?: From: John Posada
Re: Is the outsourcing boom over?: From: Gene Kim-Eng

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